You might be thinking what is token? In this API, the traditional PAN is replaced with a set of uniquely randomly generated digital sequences to protect the user's data, which is a Token.

A surrogate value for a PAN that is a 13 to 19-digit numeric value that must pass basic validation rules of an account number, including the Luhn check digit.Because the length and format of the Token and original Primary Account Number (PAN) are the same, the replacement card number does not affect the subsequent processing process, and when Token is used, instead of PAN, it can avoid directly exposing the user's actual account information, which is more secure.The replacement card number can also provide enhanced risk control, including restrictions on payment token usage by specific devices, merchants, or channels. 

Here are some basic concepts related to this API:

Token Requestor (TR): An entity submitting Token Requests to the Token Service Provider. Each Payment Token Requestors may be traditional participants within the payments industry, or newly emerging participants. Potential Token Requestors include, but are not limited to: 

1. Card-On-File merchants 

2. Acquirers, acquirer processors, and payment gateways on behalf of merchants 

3. Payment enablers, such as device original equipment manufacturer (OEM) 

4. Digital wallet providers 

5. Card issuers 

Token Requestors will be required to register with Token Service Providers and comply with their proprietary registry requirements, systems, and processes. After successful registration with a Token Service Provider, the Token Requestor will be assigned a Token Requestor ID or multiple Token Requestor IDs for different Token Domains.

Token Service Provider (TSP): Token Service Providers are responsible for a number of discrete functions in their capacity as the authorized party for issuance of Payment Tokens. That is to say, it is the one that provides the token.

Token Service Providers are responsible for building and managing their own proprietary Token Requestor APIs, Token Vaults, Token provisioning platforms, and Token registries. Token Service Providers must ensure that Token BINs or Token BIN ranges are managed distinctly from traditional BINs or BIN ranges, in part to avoid any inadvertent overlap of PANs and Payment Tokens. 

Payment Tokenization Solution has the following significant features:

1、Reduce the possibility of leakage of sensitive information, using token instead of actual card number avoid leaking card information; In addition, the scope of payment application in token were limited, to further reduce the influence scope of payment after token leaking.

2、With compatibility and interoperability, payment token can be processed normally in the transaction network like card numbers, and the application and transaction process of payment token can be done without perception among the cardholders.

3、Promote the development of industry innovation.

1、It is applied to the big merchants 。In the merchant side (payment system)， using Token instead of the original card number can reduce the risk of the information leakage of the merchant end.

2、It is applied to digital wallet and professional payment gateway, providing payment solution for e-commerce platform and online merchants. Users can register at one time, and can be used in different businesses.

3、It is applied to QR code payment，The offline QR payment and bar code payment are used to solve the problem that the static code contains sensitive card number information.

4、It is applied to NFC application and offline contactless payment, It is used to solve the problem of card number information leakage without SE environment, and also to solve the problem of card number being abused in the environment of SE.